Performance & Rankings

Fund Performance through May 31, 2008

				(Avg. Annual Total Returns as of 05/31/2008)
								Incept:
	May '08	3 Month	YTD	1 Year	3 Year	5 Year	10 Year	12/31/98
Japan (MJFOX)	0.54%	7.10%	1.58%	-9.24%	0.65%	13.54%	n/a	6.47%
MSCI Japan Index*	2.52%	5.58%	1.45%	-5.78%	11.27%	16.40%	n/a	4.52%
TOPIX**	2.51%	5.92%	2.91%	-6.06%	9.19%	14.94%	n/a	4.72%

Fund Performance through March 31, 2008

				(Avg. Annual Total Returns as of 03/31/2008)
								Incept:
	March '08	3 Month	YTD	1 Year	3 Year	5 Year	10 Year	12/31/98
Japan (MJFOX)	1.02%	-4.19%	-4.19%	-15.48%	-2.50%	14.01%	n/a	5.92%
MSCI Japan Index*	-3.99%	-7.75%	-7.75%	-14.61%	6.54%	15.11%	n/a	3.54%
TOPIX**	-3.59%	-6.33%	-6.33%	-15.43%	4.41%	13.91%	n/a	3.75%

 

All performance is in US$ with gross dividends reinvested.

Assumes reinvestment of all dividends and/or distributions before taxes. All performance quoted represents past performance and is no guarantee of future results. Unusually high returns may not be sustainable. Investment return and principal value will fluctuate with market conditions so that when redeemed, shares may be worth more or less than their original cost. Current performance may be lower or higher than the return figures quoted. Returns would have been lower if certain of the Fund’s fees and expenses had not been waived.

*The MSCI Japan Index is a free float-adjusted market capitalization-weighted index of Japanese equities listed in Japan. It is not possible to invest directly in an index. Source: Index data from Morgan Stanley Capital Management; total return calculations performed by PFPC, Inc.

^**The Tokyo Stock Price Index (TOPIX) is a capitalization-weighted index of all companies listed on the First Section of the Tokyo Stock Exchange. It is not possible to invest directly in an index. Source: Index data from Bloomberg; total return calculations performed by PFPC, Inc.

Fees and Expenses

¹ Ratio has been restated to reflect current management and administrative and shareholder servicing fees expected to be incurred by the Funds and paid to the Advisor. Matthews Asian Funds do not charge 12b-1 fees.

Select performance attribution information is available on request for certain time periods.

 

 Morningstar® Ratings™ as of May 31, 2008

The Overall Morningstar® Rating for a fund is derived from a weighted-average of the performance figures associated with its three-, five- and (if applicable) ten-year ratings. Past performance is no guarantee of future results.

Morningstar® Category: Japan
Fund: Matthews Japan Fund | Inception Date: 12/31/98

Overall	3 Year	5 Year	10 Year
out of 41 funds	out of 41 funds	out of 38 funds	n/a

For each fund with at least a three-year history, Morningstar® calculates a Morningstar® Ratingfund’s based on a Morningstar® Risk-Adjusted Return measure that accounts for variation in a monthly performance (including the effects of sales charges, loads, and redemption fees), placing more emphasis on downward variations and rewarding consistent performance. The top 10% of funds in each category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars and the bottom 10% receive 1 star. (Each share class is counted as a fraction of one fund within this scale and rated separately, which may cause slight variations in the distribution percentages.)

 

 Lipper Rankings as of March 31, 2008

Lipper Analytical Services, Inc. rankings and fund performance do not reflect sales charges and are based on total return, including reinvestment of dividends and capital gains for the stated periods.

Lipper category: Japan

	1 Year	3 Years	5 Years	10 Years	Since Inception 12/31/98
Quartile Rank	2nd 22 of 57	4th 36 of 38	2nd 10 of 35	n/a	1st 7 of 28

 

Past performance does not guarantee future results. Investment return and principal value of mutual funds will vary with market conditions so that shares, when redeemed, may be worth more or less than their original cost. Lipper Analytical Services, Inc. rankings and fund performance do not reflect sales charges and are based on total return, including reinvestment of dividends and capital gains for the stated periods. For more complete information about Matthews Asian Funds, including fees and expenses, please obtain a prospectus by calling 1.800.789.ASIA (2742). Please read it carefully before you invest or send money as it explains the risks associated with investing in international markets. Investing in foreign securities may involve certain additional risks, including exchange rate fluctuation, less liquidity, greater volatility, and less regulation. Single-country or sector funds may be subject to a higher degree of market risk than diversified funds because of concentration in a specific industry, sector or geographic sector.